Strategy Raises $2.8 Billion via STRC to Fuel Bitcoin Accumulation
Strategy has significantly expanded its latest preferred perpetual stock offering, Stretch (STRC), from an initial $500 million to a staggering $2.8 billion, according to a Bloomberg report. This massive 4x increase signals the company’s unwavering commitment to Bitcoin (BTC) and its aggressive capital-raising strategy to further strengthen its BTC holdings.
Major financial institutions like Morgan Stanley and Barclays have already shown interest in the STRC offering, highlighting strong market confidence in MicroStrategy’s Bitcoin-centric vision.
Building the ‘BTC Defense Department’
MicroStrategy, often referred to as the pioneer of Bitcoin corporate treasury, currently holds 607,770 BTC, valued at over $70 billion at current prices. The company began accumulating BTC in 2020, funding purchases through stock sales and debt issuance.
The STRC joins other unique stock offerings such as Stride (STRD), Stark (STRK), and Strife (STRF) — all part of what founder Michael Saylor calls the company’s “BTC defense department.”
On the debt side, MicroStrategy has issued several convertible bonds, bringing its total debt to over $8 billion as of March 2025. Around $3.65 billion of that debt matures by mid-2028, raising concerns among some analysts about future risk exposure.
Critics vs. Confidence: Is the Debt Worth It?
While some experts like Jake Chervinsky of Variant Fund caution against excessive leverage, warning of potential fallout in both crypto and traditional markets, others remain unfazed. Galaxy Research’s Alex Thorn believes such fears are “overblown”—at least for now.
Meanwhile, MSTR analyst Jeff Walton confirmed that approximately 25,000 BTC could be purchased within the next 10 days using proceeds from the STRC offering. At press time, MSTR stock was trading at $405, down 12% from its recent high but still up 72% since April’s low.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.
